what is your strategy?

And how well do you leverage the six drivers of strategic value?

WHAT IS YOUR STRATEGY?

www.brettpinegar.comBRETT PINEGAR achieve extraordinary results

http://www.brettpinegar.com


































































































































































































































A strategy or business model* is a critical part of your organization’s

roadmap for success.

*I consider strategies and business models to be the same thing.

Mission

Values / Culture

Strategy

Action Plans

!ere are four key partsto your roadmap.

Your strategy describes how your organization achieves its mission

by creating, delivering, and monetizing value.

Your strategy describes how your organization achieves its mission

A great strategy focuses on the sweet spot where your organization

can maximize its value.

*Graphic adapted from David Collis and Michael Rukstad’s “Can You Say What Your Strategy Is?” in April 2008 issue of the Harvard Business Review

CONTEXT

SWEETSPOT

COMPETITORSvalue

CUSTOMERSneeds & wants

ORGANIZATIONvalue

!e Strategic Sweet Spot

Capabilities

Offerings

Connections

Customers

Economics

Team

!ere are six key drivers of strategic value

*Drivers of strategic value are significant adaptation of Business Model Canvas developed by Alexander Osterwalder

Team Culture describes the most important aspects of how a team interacts and communicates to create, deliver, and capture value. Culture is in"uenced by an organization’s structure, systems, along with the collective skills, habits and beliefs of its people.

How does your team culture help you to:

▪ Create and deliver your offering to your customers?

▪ Build and maintain key relationships?

▪ Take advantage of opportunities that exist in your marketplace? Adjacent marketplaces?

Team

Culture

Skills

Team Skills describes the collective skills, talents and abilities of your people that are most essential to creating value.

How do the skills of your team help you to:

▪ Create the culture you need?


▪ Take advantage of opportunities that exist in your marketplace?

▪ Make decisions and act on your most important priorities?

Team

Culture

Skills

Activities describes the most important and unique ways your organization does things to create, deliver, and capture value. Some activities may be performed by partners. Key activities may be production oriented processes, they be associated with customer interaction, research and innovation, or they may be back office related.

What unique activities does your team excel at to:


▪ Build and maintain customer relationships?


Capabilities

Activities

Resources

Resources describes the most important assets your team leverages to create, deliver, and capture value. Some resources may be accessed through partners. Key types of resources include physical, intellectual, and %nancial.

What critical resources do you rely on to:




Capabilities

Activities

Resources

Features

Benefits

Offering Features describes the features or a&ributes of your offering that create value. Features represents what a customer is buying, not why they are buying it.

What features does your offering have to:

▪ Create value for your customers?

▪ Make it difficult for other alternatives / competitors to win?

▪ Leverage your unique capabilities, relationships, and opportunities?

Offerings

Features

Benefits

Offering Bene"ts describes the value your offering creates. Bene%ts articulates the reason why a customer is buying, not what they are buying. In other words, this is your offering’s value proposition.

What unique bene%ts does your offering have to:




Offerings

RevenueModel

CostStructure

Revenue Model describes the way your organization monetizes its value – from a traditional sale to a SaaS or subscription model, from advertising to freemium, from list price to heavy promotion and discounting.

What revenue model enables you to effectively:

▪ Monetize value with your customers?

▪ Create long-lasting customer relationships that make it difficult for other alternatives / competitors to win?


Economics

RevenueModel

CostStructure

Cost Structure describes how your investment and operating expense model help you create value. You may leverage a variable cost structure or economies of scale to create value. Some choose a value driven vs. cost driven.

What cost structure does your organization leverage to:



▪ Leverage your capabilities, relationships, and opportunities?

Economics

Customer A#ributes describes the identi%able a&ributes of segments of customers that your aim to reach and serve with your offerings. Typically, you will serve more than one customer segment, each having a unique set of a&ributes.

Which customer segments represent:

▪ Your most important customers?

▪ Which customers most willing to recommend your offering to others?

▪ Your most pro%table customers?

Customers

Attributes

Needs and Wants

Customer Needs and Wants describes the fundamental desires and requirements of your most important customer segments.

What needs and wants do your customers have and how does this help your organization:

▪ Build pro%table and lasting relationships with them?

▪ Enable you to grow your customer base?

▪ Leverage your capabilities, relationships, and opportunities?

Customers

Attributes

Needs and Wants

Customer Relationships describes the type of ongoing relationship with customers and the way that type of relationship creates value. Options range from a one-time sale to membership in a community, from high touch to low touch customer communication.

What kind of relationship do you have with customers that helps you:

▪ Build value for you and them?

▪ Fit your customer’s economic model?

▪ Distinguishes you from other alternatives / competitors?

Connections

CustomerRelationships

Channels

Channels describes the speci%c channels you use to %nd, reach, sell, deliver, and support your key customer segments. Channels may include a direct sales force or third-party brokers, outside partners to support marketing or a capable internal team.

What channels does your organization use to create value and how do these channels:

▪ Fit your customers buying process?

▪ Demonstrate your value to customers?

▪ Distinguish you from other alternatives / competitors?

Connections

CustomerRelationships

Channels

www.brettpinegar.comBRETT PINEGAR achieve extraordinary results

WHAT GRADE WOULD YOU GIVE YOUR STRATEGY?

And how well does your strategy leverage the six drivers of strategic value?

































































































































































































































